👷 Hiring Contractors📍 Kochi, Kerala

What is escrow payment in construction and how does it protect you? in Kochi

🤖 AI Answer by Biddaro4 min read📅 Updated November 2024
📍 Kochi Construction Costs (2024)
1,700
Basic/sqft
2,400
Standard/sqft
3,900
Premium/sqft
🧱 Cement: ₹398/bag⚙️ Steel: ₹72/kg👷 Mason: ₹900/day
Quick Answer

An escrow payment in construction means your money is held by a trusted third party (like Biddaro) and only released to the contractor when you confirm a milestone is completed satisfactorily. This eliminates the risk of contractors taking advance payments and disappearing.

How Biddaro Escrow Works — Step by Step

1
CLIENT deposits project funds into Biddaro's secure escrow account at the start of the project.
2
CONTRACTOR starts work knowing the funds are secured and will be released on milestone completion.
3
MILESTONE COMPLETED — Contractor requests milestone payment.
4
CLIENT INSPECTION — You inspect the completed work within 48 hours.
5
RELEASE or DISPUTE — If satisfied, you release payment instantly. If not, raise a dispute — Biddaro's team mediates.
6
PROJECT COMPLETE — Final payment released after snagging period. Both parties protected throughout.

Escrow vs Direct Payment Comparison

FactorDirect PaymentBiddaro Escrow
Advance protectionNo — money gone if contractor fraudYes — money held until milestone
Material quality assuranceNo way to verifyInspection before payment release
Dispute resolutionPolice/court (slow, expensive)Biddaro mediation (fast, free)
Contractor accountabilityLowHigh — verified + rated
Peace of mindLowHigh

📍 Kochi-Specific Tips for This Topic

💡

Kerala's double monsoon makes waterproofing critical — budget ₹150-200/sqft for comprehensive coverage

💡

Labor in Kerala is highly skilled but expensive — mason rates are 20% higher than national average

Related topics:
escrowpayment protectioncontractorbiddaroKochiKerala

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